Commercial Intelligence.

Hawke's Bay Times, Volume 16, Issue 839, 12 October 1870, Page 2

Commercial Intelligence.

ENGLISH COMMERCIAL. We take the following from the circular issued by the New Zealand Loan and Mercantile Agency Company, and dated London, 12th August : Wool.—ln our supplement issued for the San Erancisco mail we reported the effect produced on the wool market by the declaration of war, namely the entire suspension of foreign competition, and a consequent decline in prices, varying from 10 to 15 per cent. It was felt under these circumstances that the idea of continuing the sale of the remaining shipments included in the series was hopeless, pr at all events possible only on conditions involving an absolute sacrifice; and the recommendation addressed by the Committee of Merchants to the Brokers at this period, that t;he sale should be immediately clospd, was accordingly responded to by the general body of the trade. The news of the severe reduction in value, accompanied by an announcement pf a curtailment of the series, induced for a jfew days an increased attendance of English buyers, and caused some temporary improvement in quotations. It was, however, clear \hafc the hpine trade would alone be quite uneau#l, to thg absorption of any considerable

supply on these terms, and during the close of the sale prices' again declined to the lowest point during their currency—say 15 to 20 per cent under the rates ruling before the out* break of the war. The future of our staple will hinge upon the duration of hostilities. An early conclusion of the Franco-Prussian campaign would, after some delay, no doubt leid to the resumption of the usual course of business. In the contrary event, however, the accumulation of wool will depend for con* sumption mainly on-ihe English trade single handed; aud, if so f at is difficult to avoid the conclusion • that some further depreciation in value would of necessity follow. The modern conditions of Continental warfare involve the withdrawal of men from all branches of industry, and produce a suspension of the ordinary "course of trade which at first sight appears hardly credible. The realisation of this fact, and the enormously increased importance during the past few years of foreign competition in our market, will perhaps more than anything else reveal to woolgrowers the gravity of the' influence of the events now parsing on the continent of Europe upon their interests. Any special demand for woollens suited for military purposes has so far not arisen, and under any circumstances would only very partially or remotely ail'ect the wool productions of our Colonies. The next series is fixed to open on the 27th October, and the quantity then to be offered, including 60,000 odd bales withdrawn and held over from the late sales, would probably amount to, if not exceed, 200,000 bales. The total production from all the Colonies, so tar from showing the decreaso predicted early in the season, promises to exceed that of last year by about 10,000 bales. The comparatively late arrival of the New Zealand clip, which, but for the war, would have constituted in the previously improving state of trade a distinct advantage, has resulted most unfortunately for the interest of that Colony. Of the whole production of the season, only about 48,000 bales have passed the hammer to the present time. New Zealand Flax.—Since our last issue, dated 15th July, we have to report very great depression in our market for this fibre. The sales for the month by public and private contract will amount to about 1,800 bales. Prices for the lower sorts continue to be very much depressed, and in some cases 40s to 60s per ton lower has been accepted to make sales. There is a fair enquiry for the very best sorts only, but prices are very irregular and barely up to previous rates. The war is having considerable adverse influence, as the Continental demand has entirely ceased. Tallow.—During the past month the business dono in Australian Tallow has been influenced in various ways, chiefly by the political disturbances on the Continent, which at one time threatened to invoke Russia, thereby placing our supply thence in danger. Tins gave a strong impetus to our market, and caused a large proportion of the oversold account to be closed. Australian produce, to some extent, followed the ris<. 1 , and considerable parcels were secured against what threatened to be wanting in the autumn. Subsequently the anticipated difficulties with Russia cleared away, and our market for all descriptions returned to previous prices ; and* the usual weekly purchases at public sale being supplied, a very moderate quantity has changed hands during the lust two weeks. During the month 7,288 casks have been offered at public sale, 4,083 of winch were sold at from 45s Gd to 42s 9d for sheep, 43s 6d to 41s Gd for beef tallow. To-day some 2,000 casks were offered for sale, and fine mutton realised from 42s to 42s 9d ; beef may be quoted 41* to 425. The deliveries in July readied 8,400 casks, against 6,255 in 18G9. The stock of foreign tallow, of all descriptions, on the Bth instant, comprised 34,458 casks, agaiusc 24,659 last year, and 21,893 at the same time in 1868.